Valencia Containerised Freight Index up 8.19% from January to August 2018
El Valencia Containerised Freight Index (VCFI), grows 1.19% with respect to the month of July and stands at 1,081 points; a figure that confirms the recovery of the growing trend in August. In the period from January to August, the cumulative growth rate stood at 8.19%, confirming the upward trend initiated in April in the international freight markets, with the exception of the slight recession suffered in July.
The VCFI was created as an index number that took as a contribution base the 1,000 points, in January 2018. Since then, the VCFI has registered different oscillations, upwards or downwards, depending on the different factors that affect the costs and pricing in maritime transport.
During the month of August, the growth experienced in freight bound to America and Africa has been accentuated, confirming a growing trend in the markets that has been taking place since April. This situation contrasts with the significant drop in freight rates experienced in the European market which, despite the generalized rise that occurred in June, in July and August again took the path of negative values. In this sense, the tendencies indicated are in line with those published by the Shanghai Container Freight Index throughout the last weeks of the month of August.
The Valencia Containerized Freight Index (VCFI) has been developed by the Port Authority of Valencia and the Valenciaport Foundation and is published on the second Friday of each month, at 12 noon (Spanish time, or European Central, CET).
The index covers the gap in the western Mediterranean; an area that concentrates 3.8% of world trade but lacks its own indicator for export freight. It is, therefore, a reference indicator in the Mediterranean, in the same way that the Shanghai Containerized Freight Index is for the Asian area.
The VCFI is presented as a statistical magnitude based on the contribution of confidential data from companies operating the market. Specifically, the panel of informants is composed of 8 shipping companies and 4 freight forwarders with a large presence in the international market. It includes -in a first stage- the aggregate evolution of freight rates with respect to an initial reference moment, established in January 2018, a period in which the index takes 1,000.